Vertex Pharmaceuticals (VRTX) ended the recent trading session at $470.37, demonstrating a +1.88% swing from the preceding day's closing price. The stock's change was more than the S&P 500's daily loss of 0.76%. Meanwhile, the Dow lost 0.28%, and the Nasdaq, a tech-heavy index, lost 1.2%.

Prior to today's trading, shares of the drugmaker had gained 13.4% over the past month. This has outpaced the Medical sector's gain of 8.26% and the S&P 500's gain of 2.71% in that time.

Investors will be eagerly watching for the performance of Vertex Pharmaceuticals in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on February 10, 2025. The company's upcoming EPS is projected at $4, signifying a 4.76% drop compared to the same quarter of the previous year. In the meantime, our current consensus estimate forecasts the revenue to be $2.77 billion, indicating a 10.22% growth compared to the corresponding quarter of the prior year.

It's also important for investors to be aware of any recent modifications to analyst estimates for Vertex Pharmaceuticals. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 0.45% lower within the past month. Right now, Vertex Pharmaceuticals possesses a Zacks Rank of #3 (Hold).

In terms of valuation, Vertex Pharmaceuticals is presently being traded at a Forward P/E ratio of 25.39. Its industry sports an average Forward P/E of 22.03, so one might conclude that Vertex Pharmaceuticals is trading at a premium comparatively.

We can also see that VRTX currently has a PEG ratio of 2.08. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The average PEG ratio for the Medical - Biomedical and Genetics industry stood at 1.46 at the close of the market yesterday.

The Medical - Biomedical and Genetics industry is part of the Medical sector. With its current Zacks Industry Rank of 68, this industry ranks in the top 28% of all industries, numbering over 250.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.

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Vertex Pharmaceuticals Incorporated (VRTX) : Free Stock Analysis Report

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